The story of the Bitter Bench

The story of the Bitter Bench

Following Brisbane City Council’s removal of bus shelters, a place that provided cover to the city’s homeless, activist Michael Candy came up with an ingenious plot to make pedestrians think about the disadvantaged impacted by the change.

Can Canavan survive?

Can Canavan survive?

Nationals senator Matt Canavan quickly rose through the ranks of the Coalition but his stocks might be falling with stiff competition for his Senate spot in Queensland, his citizenship woes and outspoken views on marriage equality.

Police violence at Alice Springs rally

Police violence at Alice Springs rally

A police officer kicks a photographer during a rally against deaths in custody in Alice Springs. Former Don Dale Youth Detention Centre detainee Dylan Voller and his mother Joanne were among six people arrested afterwards.

Morrison want new laws to cut banks bosses pay

Treasurer Scott Morrison is planning to introduce new laws in the coming weeks to reign in the sky high pay packets of bank bosses. Vision courtesy Seven News Melbourne.

The judge’s exasperated sentencing remarks are a rollicking ride that should serve to illustrate how easy it is to get away with dishonest behaviour … at least for quite a while.

The Victorian County Court judge gave slaps to all involved, including the big lenders. According to the remarks, the trouble really set in for Goullet in 2009 when he needed a way to keep running his business after being make bankrupt.

Enter Jay Schulz – a 22-year-old injury-struck defender at the now champion Richmond Tigers AFL club and about to transfer to Port Adelaide.

He invested $150,000 in Mr Goullet’s business. Let’s cross to the judge.

«The naiveté of that investment is best explained when one contemplates … that he anticipated receiving, as a result of such investment of $150,000, $100,000 per annum,» the judge says in the remarks.

Get the latest news and updates emailed straight to your inbox.

Schulz also found himself in the «elevated» position of the sole director and shareholder of both companies.

Westpac copped a shellacking from the bench in this colourful case. Photo: James Alcock/Fairfax Media

«No doubt he felt that was very important and was told by Mr Goullet how important that was. The problem and the reality was, the only reason he was in that position was because Mr Goullet, a failed businessman and a bankrupt, could not hold a corporate position.»

Not too long after, Schulz agreed to guarantee a $1 million loan from Westpac which, the judge says, was granted in less than rigorous circumstances.

«How and who approved the loan from Westpac is a matter, in my view, that should be investigated, if not by the authorities, by Westpac themselves. I wonder what the shareholders would think of Westpac actions in such circumstances. I make the point, this is post the world financial crisis,» he says.

Still Goullet’s web of companies were barely afloat, so what to do? Get a credit card, of course.

«Hence, the idea to utilise AMEX to obtain short-term relief for the company. That is an amazing phrase, when you think about it.»

The first charge on the AMEX was not to sort out wages but to settle a $25,000 debt on Goullet’s Mercedes.

Goullet, the judge went on, then used the corporate AMEX to purchase boat motors from America «to continue the entitled lifestyle of himself and his [girlfriend]».

Add to that a $9000 family holiday at Hayman Island.

Next on the menu was a mortgage from the ANZ for a Porsche using forged documents.

Goullet described a company to the bank that was turning over $4 million a year, pumping out a profit of almost $800,000, and a backer, Schulz, in rude financial health.

«Both of such corporate and individual financial documents being false, none of them were apparently ever independently checked by ANZ,» the Judge says.

He also got ANZ to spring for a forklift.

When Schulz complained that Westpac wouldn’t lend him money for property, Goullet switched Schulz out as guarantor on Westpac’s $1 million and installed an employee instead.

This employee had, in the words of the judge, «no assets, or personal trading history» yet Westpac happily signed it over – but not before one of its staff inspected an accursed machine at the centre of the enterprise.

«In what is an absolutely remarkable photo … there is the representative in the exhibit photo, smiling and looking at the machine,» the Judge says.

The employee was soon bankrupted and their «business» liquidated, with Westpac never recouping its money. The machine in the picture was «valued as essentially being worthless».

«Again, no doubt Westpac shareholders would be outraged to find the bank involved in such intemperate financial dealing and being so easily duped by Mr Goullet.»

By early 2012, Schulz had enough. He came to Melbourne, fired Goullet and called in the police. Goullet to the end showed little remorse, according to the judge, and was sentenced to four years’ jail.

Bock again

The revolving door at McGrath real estate swings both ways with the return of Stephen Bock, who has joined its company-owned sales team on Sydney’s northern beaches, specialising in the beachy suburbs of Manly, Fairlight, Balgowlah, Balgowlah Heights and Forestville.

Bock brings with him more than 18 years of sales experience and has sold close to $1 billion in real estate over his career. He returns to McGrath, having previously worked at the company’s Manly office ten years ago.

Given house prices are slowing, he will be able to use his skills a mountaineer to help face any peaks and troughs.

Bock was the 61st Australian to summit Mount Everest and is currently pursuing the ‘Explorers Grand Slam’ – climbing the highest peak on each continent and travelling to both the North and South Pole.